The Karnataka Government has modified its Textile Policy 2013-18 to strengthen textile value chain activities and to boost technical textiles.
The modified policy will also facilitate an ambitious programme for geographical dispersion of textile units.
Karnataka is on a textile industry investment overdrive and is actively promoting investments in textile parks, mega projects, integrated units and MSME units. According to a government official, the state is targeting Rs 8000 crore of investment by 2018 with an employment potential of 4 lakh.
Under the modified policy, a two-pronged approach seeks to strengthen the existing value chain and fill the gaps in creating the facilities for value chain activities. Activities such as spinning, weaving, knitting, processing, garmenting, and other support ancillary activities like textile machinery manufacturing are also part of the focus of the modified policy.
The textile policy has been modified after studying the policies of Maharashtra and Gujarat, the official said. Under the policy, the government is offering a basket of incentive for credit linked subsidy, power subsidy, ESI reimbursement, entry tax and stamp duty reimbursement.